The government’s top adviser on homelessness has stepped down unexpectedly, sparking fears of a strategy vacuum as hundreds of thousands of tenants face possible eviction over rent arrears accrued during the coronavirus pandemic. Dame Louise Casey told housing and campaign groups on Wednesday that she had stepped back from her role, which involved leading a specialist taskforce set up in May to prevent a return to widespread rough sleeping after thousands of people were helped off the streets in March and April. After being awarded a crossbench peerage last month she said she now wanted to make her “contribution to public service” from the House of Lords, according to a note circulated to sector leaders. “This seemed like the right moment to step back, especially as the country looks to gear up to the ‘new normal’,” she wrote. Jon Sparkes, the chief executive of charity Crisis, was informed by Casey of her decision. “We urge minsters not to leave a leadership vacuum. With the economic impact of the pandemic pushing more people into homelessness, we must redouble our efforts, otherwise we risk rates of rough sleeping rising with all the human misery this entails.” Casey has not yet commented publicly on the move. One housing sector source said they understood she had been urging a different approach to the lifting of the evictions ban this weekend which would offer greater protection. But it is not known if this was a factor in her decision. Charities and campaigners are bracing for the lifting of the ban, which they warn could lead to hundreds of thousands of people made homeless. Labour and charities including Shelter and Crisis are calling for it to be postponed. Crisis said it was taken by surprise by Casey’s move. It said the government’s strategy was to meet its target of ending rough sleeping by 2024 and it was unclear who would now lead that effort. “This is a deep concern,” said Matt Downie, the policy director at Crisis. “What we need now is coordinated action across government with the leadership and assertiveness of someone like Louise Casey.” There are signs that rough sleeping is increasing again, in a trend that is likely to be exacerbated by rising unemployment as the recession bites. Figures from the homelessness charity Streetlink this week showed that alerts by members of the public about rough sleepers increased by 36% year on year between April and June 2020, reaching 16,976. Notifications were also higher than the previous quarter. In February, Casey was appointed to review the government’s rough sleeping strategy before the impact of the pandemic became clear. Her role quickly morphed into crisis management. As well as helping arrange thousands of hotel and temporary accommodation spaces to get rough sleepers indoors, she was credited with securing an additional £105m for more permanent accommodation for those people to move into. Nearly 15,000 people were helped under the government’s Everyone In initiative. Casey previously advised the Blair government on homelessness and in her latest role reported to Boris Johnson and the housing secretary, Robert Jenrick. Sources said it remained possible that she could take part in the original review of the government’s rough sleeping strategy if it restarted. Jenrick said: “I would like to thank Dame Louise for her contribution at such a challenging time, which has led to so many rough sleepers being helped off the streets and kept safe from coronavirus. Her work leading the rough sleeping taskforce will ensure as many people as possible who have been brought in do not return to sleeping rough. “Our plans for longer-term accommodation – 3,300 homes this year alone – and tailored support, backed by half a billion pounds of funding this year and next, will help us to meet our commitment to end rough sleeping once and for all.” Official homelessness statistics published on Thursday showed there were nearly 5,000 tenants in England threatened with section 21 “no fault” evictions between January and the end of March before lockdown, a 25% increase on the previous three-month period. Campaigners warned that many of these tenants, who were able to stay in their home throughout the pandemic after the government issued a temporary eviction ban on 18 March, will face having to leave their home when the ban ends on Sunday. Section 21 enables private landlords to repossess their properties without having to establish fault on the part of the tenant, in some cases enabling them to re-let the property at a higher rent. It has been criticised for giving too much power to landlords. The government promised in 2019 to scrap it, but has not yet done so. Polly Neate, the chief executive of Shelter, said: “Today’s figures show private renters were already badly affected by homelessness when the pandemic was just taking hold. Thousands more renters have since had their lives turned upside down as the country descends in economic free fall.” Thangam Debbonaire, the shadow housing secretary, said: “These figures highlight the urgent need to extend the evictions ban, to avoid thousands more people being made homeless in the run-up to winter.”